China 

China asks state-owned ‘national champions’ to help ‘stabilise’ economy, boost profits by 9 per cent in 2019

China’s biggest 97 industrial conglomerates, known as the country’s national champions, have been asked to play their part as “stabilisers” in the national economy in a bid to offset the trade war with the United States by boosting their profits by 9 per cent in 2019, according to the state-owned Xinhua News Agency.The State-owned Asset Supervision and Administration Commission (SASAC) set the target for the enterprises under its direct control, including state-owned oil and electric companies,… Source link

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China 

Communist Party journal lays out China’s trade war stance ahead of possible Xi-Trump talks

The Communist Party’s top journal set out the leadership’s position on the trade war in a series of essays published on Sunday, suggesting a “win-win” deal to end the dispute was still possible but vowing to “struggle to the end” if necessary.Bimonthly journal Qiushi, or “Seeking Truth”, is required reading for all cadres and forms the basis for the rank and file of the party to understand the leadership’s position on key issues.In the essays, the journal sought to clarify the party’s position… Source link

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China 

Central bank’s ‘tremendous room’ to adjust policy may be put to test as China’s economy slows

The boast by People’s Bank of China governor Yi Gang this month that he has “tremendous room” to adjust policy could soon be tested as the economy slows, throwing attention on the impact on the nation’s fragile currency and financial markets.Compared to European and Japanese peers, China does have more obvious policy space. Its benchmark one-year lending rate has stayed at 4.35 per cent since 2015, far above zero. The Federal Reserve’s dovish turn also eases the depreciation pressures on the… Source link

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China 

Chinese state media warns retaliation against US tariffs could ‘become routine’

Chinese state media has warned the countermeasures Beijing is taking against Washington’s increased tariffs and technology containment strategy could “become routine”.In a commentary on Friday, Taoran Notes – a social media account affiliated with official newspaper Economic Daily – also sought to play down expectations that an anticipated meeting between the Chinese and US leaders later this month could get trade negotiations back on track.It listed areas where China could strike back against… Source link

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China 

As trade war bites, China should keep calm and remember Deng Xiaoping, former adviser says

China should remember the words of its late paramount leader Deng Xioaping and “cope with affairs calmly” to avoid any further escalation of its trade and technology war with the United States, a former government adviser has said.Speaking at a seminar at Tsinghua University in Beijing recently, Jia Kang, a former head of research at China’s finance ministry, said the country also needed to be realistic about its ability to prevail in the long-running dispute.“To be honest, China is still far… Source link

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China 

Chinese banks rejected nearly US$144 billion in loans last year using credit scoring system, central bank says

Chinese banks used the government’s new centralised credit scoring system to reject loan applications worth nearly 1 trillion yuan (US$144 billion) last year, the People’s Bank of China reported Friday, showcasing that its deleveraging campaign to reduce high debt and risky lending is succeeding.In total, 21 banking institutions rejected loan applications worth 911.7 billion yuan (US$131.7 billion) from “high risk” customers, while also receiving alerts on outstanding “high risk” loans worth 1… Source link

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China 

Trade war effects leave China less room to tighten property curbs, say analysts

China’s slowing economy and the ongoing trade war with the US mean it has less room to increase cooling measures in the property sector, one of the most important economic drivers, according to analysts.China’s real estate sector has been rife with rumours the government will further rein in the booming market with measures that may include denying certain developers access to the onshore bond market to curb their aggressive bidding for land being auctioned off.Property sales in May showed… Source link

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China 

China economy slump goes on in May, with industrial growth lowest in 17 years amid US trade war escalation

Shoppers and pedestrians walk past stores in the Sanlitun area of Beijing, China, on Saturday, Nov. 3, 2018. As exporters feel the heat of the trade war, China’s powerful domestic-consumption engine was supposed to provide some protection for investors in the nation’s stocks. That is not working out so well. A narrative that is captured traders’ attention in recent weeks has been a “consumption downgrade” in the world’s second-biggest economy. Photographer: Gilles Sabrie/Bloomberg Source link

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China 

Trade war could cause global recession, Beijing official warns, as US investment growth in China sinks

May’s escalation in trade tensions led to a sharp drop off in the growth of American investment in China, according to data released on Thursday, which highlighted the chilling effect the trade war is having on investor confidence.The data release from the Chinese Ministry of Commerce (Mofcom) showed that US investment in China grew 7.5 per cent between January and May, year on year, a much slower pace than the 24.3 per cent recorded between January and April and also significantly lower than… Source link

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China 

Indonesia benefiting as China’s shoemakers shift production as US trade war worsens, central bank official says

Indonesian exports are gaining market share in the United States in some sectors as supply chains shift away from China’s manufacturing base to the Southeast Asian nation, even though the trade war has hurt more than benefited emerging economies, said Bank Indonesia deputy governor Dody Budi Waluyo.In particular, Indonesian footwear exports to the US are seeing “some progressive performance”, Waluyo said.In the first four months of 2019, Indonesia exported footwear worth US$559.91 million to… Source link

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